Marketing Final Exam

1 ref 285 286 thinking key cbe model promotion obj 18

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Unformatted text preview: purpose coupons that can be redeemed for several brands offering online coupons that can be printed at home using instant coupons on product packages ANS: C Marketers are not distributing all-purpose coupons redeemable across several brands. PTS: 1 REF: 285-286 Thinking KEY: CB&E Model Promotion OBJ: 18-2 TOP: AACSB Reflective MSC: BLOOMS Analysis 16. A _____ is a cash refund given for the purchase of a product during a specific time period. a. premium b. trade discount c. purchase allowance d. rebate e. functional allowance ANS: D This is the definition of a rebate. Rebates are similar to coupons in that they offer the purchaser a price reduction; however, because the purchaser must mail in a rebate form and usually some proof of purchase, the reward is not as immediate. PTS: 1 REF: 286 Thinking KEY: CB&E Model Promotion OBJ: 18-2 TOP: AACSB Reflective MSC: BLOOMS Knowledge 17. When Rick purchased a Xerox color printer for his law office, he was able to mail in a proof-ofpurchase and his cash register receipt to receive a check from Xerox for $200. Rick received a: a. premium b. trade allowance c. purchase allowance d. rebate e. functional discount ANS: D A rebate is a cash refund given for the purchase of a product during a specific period. PTS: 1 REF: 286 Thinking KEY: CB&E Model Promotion OBJ: 18-2 TOP: AACSB Reflective MSC: BLOOMS Application 18. Why do some marketers offer rebates instead of price reductions to induce short-term sales? a. Rebates are especially good at enticing purchases, but most consumers never bother to redeem them. b. c. d. e. A price reduction of this type would likely be an example of price discrimination. Rebates offer a more immediate reward than price reductions. Rebates have a much higher redemption rate than coupons. Rebates result in brand-loyal consumers. ANS: A Rebates are unrelated to price discriminations. From the consumer viewpoint, one of the disadvantages of a rebate is having to wait for the money. Rebates are used most often to attract customers that are classified as bargain hunters. Brand-loyal customers would not be as likely to be attracted to a rebate offer. PTS: 1 REF: 286 Thinking KEY: CB&E Model Promotion OBJ: 18-2 TOP: AACSB Reflective MSC: BLOOMS Analysis 19. A(n) _____ is an extra item offered to the consumer, usually in exchange for some proof that the promoted product has been purchased. a. coupon b. trade sample c. supplement d. premium e. add-on ANS: D Probably the best example of a premium is the toy inside a McDonald’s Happy Meal. PTS: 1 REF: 286 Thinking KEY: CB&E Model Promotion OBJ: 18-2 TOP: AACSB Reflective MSC: BLOOMS Knowledge 20. When Darrell purchased a five-pound bag of 9Lives cat food, he received a free can of the manufacturer’s new gourmet cat food. The can of cat food is an example of a: a. product placement b. trade sample c. contest d. premium e. loyalty incentive ANS: D A premium is an extra item offered to the consumer, usually in exchange for s...
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This document was uploaded on 09/29/2013.

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